Commissioner Of CGST And Central Excise Jammu vs. M/S Sun Pharmaceutical Industries 6-9 Epip Kartholi Bari Brahmana Jammu

Facts

The Commissioner of CGST and Central Excise, Jammu, filed an appeal before the High Court of Jammu & Kashmir and Ladakh against an order passed by the Customs, Excise and Service Tax Appellate Tribunal (CESTAT). The CESTAT had set aside orders passed by lower authorities and directed a refund of Education Cess and Secondary & Higher Education Cess to the respondent, M/s Sun Pharmaceuticals Industries. This direction was based on the Supreme Court's decision in M/s SRD Nutrients Pvt. Ltd. V. Commissioner of Central Excise, Guwahati. A batch of similar appeals, including the lead case CEA No. 10/2022, had previously been dismissed by a Coordinate Bench of the High Court on May 23, 2022. The present appeal was filed against a similar CESTAT order on almost identical grounds.

Held

The High Court dismissed the appeal filed by the Commissioner of CGST and Central Excise, Jammu. The Court noted that the present appeal challenged a CESTAT order that was similar to those in a batch of previously decided appeals. The grounds raised in this appeal were also found to be almost identical to those considered and dealt with by a Coordinate Bench of the High Court in its judgment dated May 23, 2022. To maintain parity and consistency, the Court dismissed the instant appeal on the same terms and conditions as laid down in the earlier judgment. Any interim directions that were subsisting were vacated. The ratio decidendi is that appeals with identical facts and grounds, challenging similar orders that have already been decided by a coordinate bench, should be dismissed on the same basis to ensure judicial discipline and consistency.

Key Issues

1. Whether the CESTAT's order directing the refund of Education Cess and Secondary & Higher Education Cess to the assessee, M/s Sun Pharmaceuticals Industries, is legally sustainable in light of the Supreme Court's decision in M/s SRD Nutrients Pvt. Ltd. V. Commissioner of Central Excise, Guwahati. The appellant (Commissioner of CGST and Central Excise, Jammu) argued that the instant appeal challenges a CESTAT order similar to those considered in a previous batch of appeals dismissed by a Coordinate Bench of the High Court on May 23, 2022. The grounds raised were also stated to be almost identical. The appellant relied on the principle of maintaining parity with the earlier judgment. The respondent (M/s Sun Pharmaceuticals Industries) did not present any arguments, as indicated by 'None' appearing for them.